ICICI Prudential Life shares decline 7% on Q4 earnings miss. What should investors do?
[hfe_template id='11223']
[ad_1]
Shares of ICICI Prudential Life Insurance declined nearly 7% to Rs 553 in Wednesday's trade on BSE after the company reported a 26% drop in its consolidated net profit to Rs 174 crore for the quarter ended March 2024. The same stood at Rs 235 crore in the year-ago quarter. However, its net premium income for the reporting period jumped 17% to Rs 14,788 crore. The company also saw a lower new business margin, hurt by a persistent decline in demand for high-value policies and as customer preferences shifted towards low-margin products. Value for new business (VNB), the expected profit from new policies, fell 19% to Rs 2,227 crore for the year ended March 31, dragging the VNB margin to 24.6% from 32% a year earlier. The decline in VNB margin is primarily on account of the shift in the underlying product mix towards unit-linked business, the company said. Also Read: Big movers on D-Street: What should investors do with ABFRL, Tata Consume...